Replies to post #461468 on Mr Cooper Group Inc fka COOP

[BBANBOB]

GEEEEEEEEZ PARD COMPLAIN ABOUT WHAT????????????????????

A deal that AINT DONE YET! GET SERIOUS!!!!!!!!!!!!

[JusticeWillWin]

The whole secret is in the $40.2 bln. asset-related equity adjustments of the "Inception Balance Sheet" from 2008 (run date 2009) IMO!



These (negative) $40.2 bln. of the internal inception balance sheet are the only reason that the FDIC had "only" the $1.942 (which increased to currently $2.7 bln. due to the $800 mln. tax refunds) on the "public" balance sheets. These (negative) $40.2 bln. cause the (negative) $11.8 bln. that the FDIC shows on the public balance sheets every time since 2008 (https://www.fdic.gov/bank/individual/failed/wamu.html click on Balance Sheet Summary)
WITHOUT these (negative) $40.2 bln. the current FDIC balance would be much much higher!

I've copied footnote 8 to the document's first page and it states it could be for "unrecorded assets". Are "assets" in trusts/offbalance assets are unrecorded assets? Didn't they pass to JPMC and the FDIC knew it already in 2008? I don't know...

IMO NOBODY could explain what these (negative) $40.2 exactly consist of. What justifies an "adjustment" of $40.2 bln.?

It COULD NOT be a reduction of the loans to fair market value, because JPMC also wrote down the loans by $30 bln. IMO EITHER the FDIC can do a reduction OR JPMC can do it AFTER the purchase, but NOT BOTH (BEFORE the purchase, and once again AFTER the purchase.)

So IMO the whole secret is in the $40.2 bln. asset-related equity adjustments.

BTW: Is it a coincidence that the recuction of the real estate mortgages ($191 bln.) be these asset-related equity adjustmens ($40.2 bln.) results exactly in the "mysterious" $151 bln.???

Can somebody help?

@Tanja: Do your newest perceptions/numbers/theories somehow align with this inception balance sheet/the (negative) $40.2 bln.???

clawmann's post:

I think the fundamental issue here is this: how reliable is the balance sheet information that has been published.

Read this, the FDIC's information quality guidelines:

https://www.fdic.gov/about/policies/index.html

The FDIC cannot just publish data that it knows is materially misleading.

So, yes, I think the $2.75 billion, while it is unaudited and so it might be off a bit here and there, it is pretty darn reliable for our purposes.

If anyone thinks the FDIC is misrepresenting the state of affairs, there is a complaint procedure outlined at the bottom of the linked page.

[boarddork]

The FDIC is not misleading anyone by not reporting assets in Safe Harbor and Legal Isolation.....ie mortgage, credit card, and other assets pledged (not sold per prospectus') to ABS, RMBS, MBS securities, whose income feeds tiered certificate ownership that WMI/WMIIC owns, as was a regulatory requirement, that they have significant skin in the game, of what they securitized and sold.

SAFE HARBOR and LEGAL ISOLATION = Off Balance Sheet. Perfectly legal way to hide assets in plain site, every day. Bankruptcy and creditor remote.